Rising Costs Push More Seniors Toward OAS + GIS
As prices continue to climb across Canada — from groceries to housing — many retirees are depending more than ever on federal support programs.
The combined Old Age Security (OAS) and Guaranteed Income Supplement (GIS) payments remain a lifeline for millions of low- and moderate-income seniors.
In October 2025, the combined monthly payment for those with the lowest incomes could reach about $1,450, thanks to cost-of-living adjustments. While not all seniors will receive that full amount, even a modest increase offers much-needed relief against the pressure of inflation and fixed pensions.
Also read: CPP and OAS Cost-of-Living Adjustment 2026: How Much Will Benefits Increase?
Understanding OAS and GIS
Old Age Security (OAS) is a taxable monthly benefit available to most Canadians aged 65 or older, based on years of residence rather than employment history.
The Guaranteed Income Supplement (GIS), on the other hand, is a non-taxable top-up payment for seniors with very low incomes.
Together, these programs aim to ensure that no senior is left behind — regardless of their work history, savings, or private pension.
OAS provides the foundation, while GIS fills the gap for those struggling to afford day-to-day essentials.
October 2025 Payments: What to Expect
The OAS and GIS payments for October 2025 are expected toward the end of the month, likely around October 29, 2025, based on the federal payment schedule.
For seniors receiving direct deposit, payments usually appear in their accounts on the same day or the day before.
If you’re new to the program or recently filed for GIS, you may also receive retroactive payments covering previous months once your application is processed.
Who Qualifies for the $1,450 Combined Payment
Not everyone will receive the same amount — payments depend on your age, income, and residency.
Here’s who generally qualifies for full OAS and partial or full GIS in 2025:
- Canadians aged 65 or older
- Residents who have lived in Canada for at least 10 years after turning 18
- Seniors with low annual income, typically under roughly $22,000 for singles or $30,000 for couples (approximate figures for 2025)
- Individuals who file their tax returns on time each year — GIS renewals depend on annual tax filings
Married or partnered seniors are assessed jointly. If one spouse earns more, the combined household income determines how much GIS is paid.
Why the Amount Changes Every Quarter
Unlike fixed pensions, OAS and GIS are indexed to inflation. This means that four times a year — in January, April, July, and October — the federal government reviews the Consumer Price Index (CPI) to adjust benefit amounts.
For seniors, that means some protection against rising costs. When inflation increases, benefits rise automatically. When inflation slows, payments stay the same — they never go down.
This quarterly adjustment ensures that seniors’ purchasing power isn’t eroded by changing economic conditions.
How Seniors Can Receive the Maximum Amount
Many seniors don’t realize they might be missing out on part of their GIS. Here’s how to ensure you’re getting the most from your benefits:
- File taxes early every year — GIS is recalculated annually based on your previous year’s income.
- Update your information if your income drops during the year (for example, after retirement or a job loss).
- Choose direct deposit to receive payments quickly and securely.
- Check your My Service Canada Account regularly to verify your eligibility and amount.
Even small income changes can increase your GIS payment, so it’s worth reviewing annually.
Why OAS + GIS Matter More Than Ever
Canada’s senior population is growing rapidly — by 2030, nearly one in four Canadians will be over the age of 65.
At the same time, many are entering retirement with higher debt and smaller private pensions than earlier generations.
Programs like OAS and GIS are increasingly essential for ensuring dignity in retirement. They help cover rent, groceries, medication, and transportation — the basic costs of daily life that have become harder to manage in recent years.
In cities such as Toronto, Vancouver, and Calgary, where living expenses are highest, the GIS top-up is often the only thing keeping thousands of seniors out of poverty.
Planning for Future OAS Increases — What to Expect in 2026
Looking ahead, 2026 is shaping up to be another important year for seniors’ benefits.
While official figures won’t be released until mid-2026, experts expect OAS and GIS payments to rise again, likely between 2.5% and 4%, depending on inflation trends.
Here’s what could drive those increases:
- Inflation Stabilization
Even if inflation cools, prices for essentials like food and rent remain elevated. The federal government is likely to maintain positive adjustments to offset these sustained costs. - Population Aging
With more Canadians reaching retirement age, the OAS program budget continues to expand — but so does its reach. More individuals qualifying for full benefits may trigger additional funding allocations in 2026. - Federal Commitment to Seniors’ Income Security
Ottawa has reaffirmed its goal of keeping seniors out of poverty. This means continued upward revisions to OAS, GIS, and related benefits.
If current trends continue, the maximum combined OAS + GIS could surpass $1,480 or even $1,500 by the second half of 2026.
Common Questions About OAS and GIS (FAQs)
1. Is the $1,450 amount guaranteed for everyone?
No. That figure represents an approximate total for seniors with very low income who qualify for both OAS and full GIS. Many receive less depending on income and marital status.
2. Do I need to reapply every year?
OAS continues automatically once approved. GIS, however, is reviewed annually — your eligibility renews automatically if you file taxes on time.
3. Can I get GIS if I still work part-time?
Yes, but your earnings reduce the GIS amount. Even small part-time income can lower your monthly top-up, though it won’t affect your OAS.
4. Are OAS and GIS payments taxable?
OAS is taxable. GIS is not — it’s a tax-free supplement designed for low-income seniors.
5. What happens if I move abroad?
You can still receive OAS if you’ve lived in Canada for at least 20 years after age 18. GIS, however, stops if you live outside the country for more than six months.
A Growing Need for Awareness
Despite being one of the oldest social support systems in Canada, many seniors remain unaware they qualify for GIS.
Thousands leave money unclaimed each year simply because they didn’t apply or failed to update their income details.
In a time when affordability remains a national concern, spreading awareness about programs like OAS and GIS is essential. Every dollar counts, and for many seniors, these benefits can mean the difference between comfort and financial stress.
Final Takeaway
The $1,450 combined OAS + GIS represents far more than just a cheque — it’s a symbol of security for seniors who’ve spent their lives contributing to Canada’s growth.
As October 2025 approaches, eligible recipients should confirm their details with Service Canada, ensure tax filings are up to date, and monitor upcoming quarterly adjustments.
With continued inflation and a federal focus on affordability, 2026 may bring further increases — helping retirees keep pace with the cost of living in a rapidly changing economy.
